Which of the following statements is (are)true about longevity insurance?
I.If the annuitant dies during the deferral period,the purchase price of the annuity is forfeited.
II.Longevity insurance is an example of an immediate annuity.

Question

Quizplus · Accepted Answer

Statement I is true as longevity insurance is a type of deferred annuity that pays out only if the annuitant reaches a certain age. If the annuitant dies before that age, the purchase price is forfeited. Statement II is false as longevity insurance is a type of deferred annuity and not an immediate annuity.

Which of the Following Statements Is (Are)true About Longevity Insurance